News that reform will be 'brought forward' is welcome, but families need urgent clarity on it.
Responding to the Queen’s Speech today, which mentions that social care reform will be “brought forward”, Becky O’Connor, Head of Pensions and Savings, interactive investor, said: “It’s good to hear proposals to reform social care, including long-term care for the elderly, will be brought forward, but this remains vague and millions of families around the UK need urgent clarity on it.
“Planning to meet living costs in retirement is hard enough without the curveball of care costs entering the equation. However, it is becoming a more likely outgoing for more older people, who may have limited means.
“In the meantime, family members turned carers are taking the strain, which in turn has an impact on their earning capacity and ability to invest and look after themselves in their own retirement years.
“The knock-on effects of not fixing social care will be felt through the generations, as younger family members are left with no choice but to help where necessary, with emotional, physical and financial consequences.”
The interactive investor Great British Retirement Survey 2020 found that caring for an ill family member had ‘derailed’ the retirement plans of 8% of people, with 3% saying they had to give up work to look after elderly parents or in-laws full time.
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